Development Strategies of India and Neighbors

Nov 26, 2024

Development Experiences of India: A Comparison with Neighbours

Unit Overview

  • Importance of understanding development strategies of neighbouring countries.
  • Focus on India, Pakistan, and China.
  • Comparative analysis of economic and human development indicators.

Introduction

  • Globalisation impacts on national economies.
  • Formation of regional and global economic groupings (e.g., SAARC, EU, ASEAN, etc.).
  • Understanding neighbouring economies is crucial for developing countries.

Developmental Path: A Snapshot View

  • India and Pakistan became independent in 1947; China in 1949.
  • Similar planning strategies with Five Year Plans initiated in the 1950s.
  • India and Pakistan: large public sector; China initially controlled all sectors under the government.

China's Development Strategy

  • Great Leap Forward (1958): Industrialization and communes.
  • Cultural Revolution (1966-76): Work and learning from the countryside.
  • Economic reforms from 1978, initially in agriculture, trade, and industry.
  • Special economic zones to attract foreign investment.

Pakistan's Development Strategy

  • Mixed economy model.
  • 1950s-60s: Import substitution industrialisation and Green Revolution.
  • 1970s: Nationalisation of industries.
  • 1980s: Privatization and private sector encouragement.

Comparative Demographic Indicators

  • China's population density is lowest; one-child norm impacts.
  • Population growth highest in Pakistan; fertility rate highest.
  • Urbanisation highest in China.

Gross Domestic Product and Sectors

  • China's GDP (PPP) is the second-largest globally; India is 41% of China's GDP.
  • China's growth initially driven by industry; now more balanced with services.
  • India: Growth mainly from the service sector.

Human Development Indicators

  • China leads in many indicators like GDP per capita, life expectancy, and poverty reduction.
  • India's human development indicators show moderate progress.
  • Liberty indicators (political freedom, rights protection) are not fully included in assessments.

Development Strategies: An Appraisal

  • China's reforms initiated internally; India's reforms driven by IMF and World Bank.
  • China's pre-reform public infrastructure contributed to its success.
  • Pakistan's growth hampered by reliance on good harvests rather than institutional change.

Conclusion

  • Varied developmental paths of India, China, and Pakistan.
  • China has used market systems effectively while maintaining political control.
  • India and Pakistan are still heavily dependent on agriculture.

Recap

  • Globalisation and economic competition.
  • Differences in political systems and development strategies.
  • China, India, and Pakistan's paths from agriculture to other sectors.

Key Questions

  1. Why are economic groupings formed?
  2. Compare India's and Pakistan's development strategies.
  3. Explain China's Great Leap Forward.
  4. Discuss the implications of China's one-child policy.
  5. Evaluate the factors behind China's rapid growth.

Suggested Activities

  • Debate on free trade between India and neighbours.
  • Analyze trade data with China and Pakistan.
  • Debate on population control measures in India.